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Friday, 8 April 2016

KEYNOTE ADDRESS DELIVERED BY CHIEF AUDU.I.OGBEH, OFR, HONOURABLE MINISTER OF AGRICULTURE AND RURAL DEVELOPMENT AT THE NATIONAL WORKSHOP ON DEVELOPING A RAPID ACTION PLAN FOR QUALITY SEED PRODUCTION AND PRESENTATION OF THE ALLIANCE FOR A SEED INDUSTRY IN WEST AFRICA (ASIWA) IN NIGERIA HELD AT CHELSEA HOTEL, ABUJA, 7TH – 8TH APRIL, 2016.


CHIEF AUDU.I.OGBEH

I am delighted to be in your midst this morning to address this distinguished gathering on the crucial issue of “DEVELOPING A RAPID ACTION PLAN FOR QUALITY SEED PRODUCTION, AND PRESENTATION OF THE ALLIANCE FOR A SEED INDUSTRY IN WEST AFRICA (ASIWA) IN NIGERIA."


2.             It is quite encouraging that Heads of Agencies, Managers of seed companies, Donors, Farmers’ representatives and other stakeholders, too numerous to mention, are here with us today, as participants at this workshop. The high turnout of financial partners, the CBN, NIRSAL, BOA, Ministry of Finance and the Commercial Banks, sends out a strong signal that the Nigerian seed industry has come of age. It is also an affirmation that the industry has now fully appreciated the reality that its business is to provide quality seeds to our ever-ready farmers to feed our fatherland. This, no doubt, will help us to achieve food security, reduce dependence on food imports, conserve foreign exchange, and complement the on-going efforts by this Administration to diversify the national economy.

3.             I would also like to commend the National Agricultural Seeds Council (NASC) for organizing this workshop. I appreciate CORAF/WECARD Seed Team (West Africa Seed Program- WASP), AGRA (MIRA), SEEDAN and the Nigeria Agribusiness Group (NABG) for their support in making this gathering a reality.

4.             It is, indeed, a great pleasure for me to share, with this unique gathering of key stakeholders, my thoughts on some of the ways and means of effecting a structural change in the Nigerian Seed System for better performance and sustainable food security. Let me, therefore, begin by underscoring the critical importance of food security as the most important form of security for guaranteeing the sovereignty of a State. In this regard when we speak about security, undeniably and globally, the most important form of security is the security of the stomach. Accordingly, if we must sustainably feed our teeming population of 170 million people, and also serve as the food basket for the West and Central Africa Sub-Regions, in view of their increasing reliance on us for some of their food requirements, especially grains, we must come up with a clear strategy to ensure the availability of high quality seeds. 

5.             In order to ensure availability of high quality seeds over the long term, as a key strategy for reviving the agricultural sector, the need to balance the forces of supply and demand of high quality seeds is inevitable. In the course of this address, therefore, I wish to examine the current situation in the seed sub-sector with a view to appreciating the need for its revival and revitalization.

6.             First, it is worth noting that the estimated annual seed demand in Nigeria for 2016 is about 350,000 MT for rice, maize and sorghum with an approximate seed industry value of  N112 Billion ($564 Million).  The 2015 annual production was about 122,000 MT valued at N43 Billion ($216 Million). This, effectively translates into a supply-demand gap of about 231,000 MT valued at N81 Billion ($409 Million). Presently, the gap is filled through massive use of low quality seeds, such as farmers saved seed and supplies from unscrupulous seed merchants. In this regard, Nigeria needs a seed industry revolution.

7.             We must reverse this unhealthy situation in order to increase the productivity and competitiveness of Nigerian agriculture, generate more income for farmers through bumper yields and block the huge loss of funds within the system. Given the agro-ecological suitability for these major crops and availability of adaptable cultivars, resources and manpower, a seed industry revitalization can be achieved with proper planning and coordination of the deployment of adapted varieties with yield potential of over 4.0 t/ha compared to the average 2.0 t/ha currently deployed on farmers’ fields.

8.             Second, let me reiterate loudly my concern on the low yields of varieties in Nigeria compared to what obtains in other countries for which I challenge the Research, especially not only to brace up and do more; not only to improve and develop better varieties, but also to partner strongly with stakeholders to ensure that these varieties get to the hands of farmers.

9.             Thirdly, from the industry and commercial users’ end (Millers, Processors, and Breweries etc.) the demand for high quality products that can only be produced using seeds of specific quality is on the increase.  Since demand for this type of high quality end product is growing faster, the pull for use of quality seeds is equally increasing. Supporting the growth of the Nigerian seed industry to produce high quality seeds, which in turn will lead to the production of quality grains that meet industry needs, is of integral importance for food security, job creation and prosperity of the economy. The production of these quality products will help reduce importation and the demand for huge foreign exchange required for food importation, as companies will source their needed quality grains from the local market.

10.            The scenarios painted above clearly imply that we need to innovate in addressing the various challenges of the seed value chain, take stock of how best to ramp up production, and create the necessary institutional structures to ensure a well regulated seed industry in the country. This becomes very important and crucial if we must achieve the Ministry’s targeted actions to attain self-sufficiency in our local staples. Our target is achieving self-sufficiency within the next 36 months in Rice, Sorghum, Maize, Millet, Soya Beans and Wheat. This will help us to achieve import substitution and, significantly, stabilize as well as reduce the high import bill currently being generated on food items to the barest minimum. 

11.             We shall mobilize and engage the active participation of State Governments, the Youth, Women and other key stakeholders to attain this feat with the cultivation of additional two (2) million hectares of land yielding two crops a year. In this connection, one major step we must take, in furtherance of this objective, is the revival and revitalization of the seed sector, bearing in mind that seed quality is the most crucial input that will determine over 50% success of our vision. It is worth noting that we now have seed preference mapping for the country, and we will ensure that each State of the Federation is provided the preferred varieties of seed most appropriate to environment for bumper agricultural production.

12.            We will continue to engage with the financial sector to ensure that seed sector actors have improved access to credit and finance for the development of the sector. The current high interest rates being charged by banks are a disincentive to investment in agro-industry. The situation is exacerbated because the vast majority of our farmers are peasant/ small landholders with low capacity, minimal productivity, in addition to being among those with the lowest on- farm yields in the world. Accordingly, in order to ensure improved access to agricultural credit and financing, the Ministry will push harder for the introduction of a lower interest regime to the agricultural sector under the special intervention programmes of the Central Bank of Nigeria (CBN). We shall follow, with speed also, the reform of the Bank of Agriculture (BOA) in order to bring it in line with similar institutions in the rest of the world where the lowest rate of credit delivery is made available to agriculture and agro-enterprises through specialized financial institutions/windows.
13.            The future of agriculture lies with our youths, in view of the ageing population of our farmers. In order to ensure the active engagement of our youths in agriculture, we shall introduce school farms nationwide, and especially engage schools located in the rural areas to get into agriculture once again. We shall guide them to acquire quality seeds from the right sources and promote the mechanization of agriculture as an added incentive to our growing youth population to embrace agriculture as a profitable venture.

14.            Clearly, with the huge volumes needed to feed our national population of 170 million people, agriculture can no longer be treated as a seasonal enterprise, wholly dependent on rainfall.  Rains, as we are all aware, are often unpredictable, and where predictable may come too early or too soon or too little, too late. Therefore, the first remedial action is the recognition that agriculture now has to be an all-year-round enterprise that should not be subjected to the vagaries of weather or climate, especially bearing in mind that weather and climatic conditions are rapidly changing. As one of the planned interventions, therefore, we shall intensify our efforts and investment in irrigation. In this connection, the Federal Ministry of Agriculture and Rural Development will work hand in hand  with State Governments and the Federal Ministry of Water Resources  in putting to effective use, the over 200 under-utilized dams which are located in different areas across the country. More dams, including earth dams, will need to be built as soon as possible. This is to ensure all-year food production as a strategic intervention for sustainable food security, boosting farmers’ incomes, providing added opportunity for youth employment and reducing poverty.

15.            The above actions, which are key components of our Roadmap, cannot be achieved without having sufficient quantity of quality seeds. We shall work, assiduously, to mobilize increased investment by both local and foreign entrepreneurs into the seed sub-sector to make sure that we bridge the huge gap between supply and demand. This, we have started, and we will continue to do more. Few of what we have done so far under my leadership include:

Ø  Development of a Roadmap for the agricultural sector;
Ø  Engagement of donors and development partners to support the agricultural sector development more sustainably;
Ø  Welcoming the support of the Private Sector in micro policy reform for seed sector; 
Ø  Partnering with Research & Development Institutes and the private sector, through the NASC, to ensure farmers get quality input at right price;
Ø   Introduction of the right policy environment for enhanced  participation of the  private sector  in agricultural production and agro-enterprises;
Ø  Partnering with the NABG and the seed sub sector to engage development partners in promoting good governance, institutional strengthening, and dissemination of good practices  for more efficient agricultural production; and
Ø  Partnering with SEEDAN and Financial Partners to reduce the burden of access to finance to ensure delivery of quality inputs to farmers with the active involvement of women and youths.

16.            I wish to observe that in order to change the seed industry for improved livelihoods and development in Nigeria, we must get the Technologies, Infrastructure, Institutions and Policies right. On the policy front, support for seed industry development should feature high on the agenda of the government. The aim here should be the promotion and support of strong private-sector-led development. On the institutional front, we shall empower the entities of government, such as regulatory and coordinating agencies, research institutions, universities and the extension services for technology generation, adaptation and diffusion at the national, state and local government levels. With regard to seed technology, it is important as a country that we make rapid progress on the introduction of hybrid technology to rice, sorghum and other crops in Nigeria.

17.            In closing this address, I urge you all to take full advantage of the opportunity offered by this gathering by making meaningful contributions that will help us attain our objective of reviving the agricultural sector, and in particular, move the seed sub-sector forward. I am very curious to see the suggestions that will emanate from this workshop, as well as the action plan, to jumpstart a revolution in the Nigerian seed system, aimed at jumpstarting agricultural revival in Nigeria.

18.            Distinguished participants, you have, at all times, been believers in change. I, therefore,  urge you to continue to serve as champions of beneficial and impactful change, in recognition that your little effort can make a great difference that will serve as an inspiration to others to embrace the much-needed change that we require as a country to fulfill our hopes and aspirations.

19.            It is on this fitting note, and with immense pleasure, that I declare this workshop open.  I thank you very much for your attention, and wish you a very successful workshop.

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